ReferIndia News Big cash crunch? Banks tap $26 billion Fed Repo lifeline - second-highest since 2020 crash

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Big cash crunch? Banks tap $26 billion Fed Repo lifeline - second-highest since 2020 crash

Published on: Dec. 3, 2025, 10:23 p.m. | Source: The Economic Times

U.S. banks tapped the Feds Standing Repo Facility for $26 billion, the second-highest since 2020, as liquidity tightened across money markets. SRF use has surged through late 2025, including a $50.35 billion record on October 31, driven by month-end flows, Treasury settlements, rising repo rates, and QT cutting the Feds balance sheet to $6.6 trillion, signaling growing funding stress.

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